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Outsourced Product Development and Intellectual Property: Who Owns What?

When we speak with prospective customers about their outsourced development project, one of the first questions we are typically asked is about ownership of the intellectual property from the project.  We understand why this question is often front of mind, as a quick search online will reveal various international guidelines and articles written to offer Research and Development teams considering the use of outsourced product development opinions and guidance around intellectual property with outsourcing.

Looking at the Medical Design Briefs article for example, the term outsourcing alone can represent many things.  The article offers a wide ranging discussion on key areas of the IP question such as Sharing IP, Inventorship, and Ownership.  The article concludes that companies engaged in outsourced product development should be cognizant of the IP issues, which is why we get the question.question-2004314_640

Intellectual property issues are not exclusive to medical device development.  Legalzoom has an article highlighting the top 5 intellectual property disputes.  Three of the disputes are related to software while one is in the publishing industry and the other deals with toys.

There is no disputing that IP disagreements are prolific, and a windfall for legal teams. According to an IPWatchdog 2016 article, 2015 saw the 2nd most patent infringement cases brought to court, at total of 5830.

With more than 5800 legal cases around intellectual property, we at Resolution very much understand why we are asked about IP.   Unless you are a law firm, your money is better spent in development, not litigation.

When we are asked about IP, our answer is simple.  Our clients own the intellectual property.  Companies that do business with Resolution know that intellectual property ownership is not an issue.  Furthermore, when doing the product development, we do the research to assure that your new product does not infringe on any existing IP.

To Learn more about Resolution Development, or to ask us directly about our IP policy, contact us. We would love to discuss your project and where we can help.

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